System and method for providing instant-decision, financial network-based payment cards

ABSTRACT

A system and method for issuance of a financial network-based payment card (generally known as a “credit card”) almost instantaneously after application, wherein an applicant applies for a credit card by entering data into a data entry system, advantageously by filling in a plurality of predefined forms in a computer-based data entry system. The applicant&#39;s data is sent via a data network to a central decision center, which approves or disapproves the application. If the application is approved, data is generated and delivered to a card production system, which embosses and magnetically encodes a card blank. The card is then delivered to the applicant.

CROSS-REFERENCE TO RELATED APPLICATIONS

This application is a continuation application of U.S. application Ser.No. 10/898,518, filed Jul. 23, 2004, which in turn claims the benefit ofU.S. Provisional Application No. 60/490,331, filed Jul. 25, 2003. Theentire disclosures of U.S. application Ser. No. 10/898,518 and U.S.Provisional Application No. 60/490,331 are hereby incorporated herein byreference.

FIELD OF THE INVENTION

This invention relates to the field of financial network-based paymentcards (e.g., credit cards, debit cards, etc.), and, more specifically,to a system and method that makes the time period from application tocard issuance practically instantaneous.

BACKGROUND OF THE INVENTION

Network based payment card companies (e.g., MasterCard, Visa, AmericanExpress, etc.) are constantly soliciting applicants for their creditcards. Many of these solicitations take place in the form of mail ortelephone. Such solicitations are frequently discarded or blocked sothat the potential applicant does not even see or hear about the card.

On the other hand, there are many situations in which a person is morelikely to participate in a credit card solicitation. For example, peoplewaiting in line at theme parks, sport events, etc. may be more inclinedto listen to a credit card solicitation and apply while they are waitingon line. Such application generally consists of the applicant fillingout a form and having the solicitor send it to a possessing center.Generally however, applicants may be more inclined to apply if thecredit card could be supplied virtually instantaneously.

Therefore there is a problem in that obtaining a credit card fromapplication to delivery cannot be done where the applicant is mostlikely to apply.

SUMMARY OF THE INVENTION

This invention provides a system and method for issuance of a financialnetwork based payment card (generally known as a “credit card”) almostinstantaneously after application. According to an aspect of thisinvention, an applicant applies for a credit card by entering data intoa data entry system, advantageously by filling in a plurality ofpredefined forms in a computer-based data entry system.

Advantageously, the computer-based data entry system is handheld, sothat an applicant can hold the device in one hand and enter data withthe other. Also advantageously, the computer-based data entry systemcommunicates with a local area network using wireless communicationprotocols such as Wi-Fi, Bluetooth, etc. The applicant's data may beencrypted before transmission for security.

The data entered by the applicant may be cross-referenced to agovernment-issued identification (e.g., a driver's license or passport),another credit card, or both. The applicant's data is then delivered toa decision system via a data network. The decision system indicatesapproval, disapproval or a pending decision. The decision and otherinformation are relayed into a fulfillment center, which may be on-siteat the place of data entry. If disapproved, the applicant is notnotified on-site, but rather at a later date. In addition, before theinformation is displayed at the fulfillment center, the disapprovaldecision may be converted to a pending decision to protect theapplicant's privacy, among other things. Pending decision means furtherreview must be conducted. Further review generally is conducted at asite different from the fulfillment center.

If the application is approved, information regarding a credit card isdelivered to an on-site card production system. The on-site cardproduction system produces a credit card, which includes an embossedcredit card number (which may be a temporary number) and any datamagnetically encoded on it. This card can then be utilized on thevarious network point-of-sale networks (e.g., MasterCard, Visa, AmericanExpress). The fulfillment center verifies the applicant's identificationinformation and delivers the card to the applicant. The card may be apermanent card that can be used anywhere the issuing association of thecard, such as MasterCard or VISA, is accepted. Alternatively, the cardmay be limited in use to the on-site merchant (e.g., a theme park) andmay be limited in time. If the card is so limited, a final card may bemailed to the applicant.

This process has proven to provide high data accuracy and high customerparticipation.

BRIEF DESCRIPTION OF THE DRAWINGS

A more complete understanding of this invention may be obtained from astudy of this specification taken in conjunction with the drawings, inwhich:

FIG. 1 is a block diagram of an exemplary embodiment of this invention;

FIGS. 2 a-c are a flow chart of processing a credit card application inthe context of FIG. 1; and

FIGS. 3-13 are exemplary screen shots of data entry screens for anexemplary data entry system according to one aspect of this invention.

DETAILED DESCRIPTION

Turning now to FIG. 1, a block diagram illustrating an exemplaryembodiment of this invention is shown, generally at 100. Box 102represents an on-site data collection and fulfillment center. On-sitecenter 102, may be, for example, at a theme park. While this exemplaryembodiment is described in the context of theme park, this invention isnot so limited. On-site center 102 may be an office in a strip mall, afair, sporting event or other location. One skilled in the art willappreciate the versatility of this invention and the many situations inwhich this invention may be used.

At on-site center 102, there are a plurality of tablet computers,represented by tablet computer 104 and tablet computer 106. Tabletcomputers 104 and 106 are used for gathering data regarding an applicantas will be discussed further, below. Tablet computers 104 and 106 are incommunication with wireless network 108, in this exemplary embodiment.Wireless network 108 is in communication with local area network 110 atthe on-site location 102.

An applicant enters his or her personal data in tablet computer 104 or106, as will be described further, below in connection with FIGS. 3-13.The data is advantageously encrypted and then transmitted via wirelessnetwork 108 to local area network 110 within the theme park andeventually to a decision system 124 as described below.

Alternatively, an applicant can enter data at a personal computer orwork station 112 using a keyboard in the manner known in the art. Alsoalternatively, an individual may fill out a paper application and handit to a person on-site working at personal computer 112. Furthermore,all forms of entering data may take place simultaneously.

Applicant's personal data is then routed from local area network 110through data network 114. In this exemplary embodiment, data network 114comprises the Internet. While this exemplary embodiment of thisinvention is being described in terms of the Internet, one skilled inthe art will appreciate how to practice this invention using any datanetwork, public or private, after studying this specification.

Once the applicant's personal data arrives at a processing center, itpasses through a firewall 116, as is known in the art. Transactionprocessor 118 receives the applicant's personal data, decrypts it asnecessary and optionally checks it for integrity. If the data passes theintegrity check, it is entered into a fulfillment database 120.Fulfillment database 120 tracks the progress of the transaction and canbe accessed by personnel involved in the application process.

Transaction processor 118 submits the applicant's personal data to aninput queue 122 of a decision system 124. Decision system 124 makes adetermination as to whether or not to approve the applicant. An exampleof a decision system is the Capstone Decision System. However, oneskilled in the art will appreciate that the invention is not limited tothis type of decision system. Fraud screeners (not shown) may be used toreview the applicant's data for potential fraud issues prior tofinalizing the determination of the decision system 124. When decisionssystem 124 is finished, it places the decision on output queue 126 whichthen updates fulfillment database 120.

Transaction processor 118 is notified by fulfillment database 120 whenthe decision system 124 has completed. Alternatively, transactionprocessor 118 may periodically query fulfillment database 120 todetermine whether a particular applicant has been approved.

In this exemplary embodiment of this invention, decision system 124 mayapprove an applicant, may disapprove an applicant or may mark theapplication as pending meaning further review is necessary. Such furtherreview is generally performed at a later time. Transaction processor 118receives the approval, disapproval or pending status and reactsaccordingly. In accordance with this exemplary embodiment, transactionprocessor 118 delivers an approval along with the data necessary toimprint and encode a credit card (credit card numbers, etc.) backthrough data network 114 to local area network 110. If the decision wasdisapproval or pending, transaction processor 118 sends that informationback through data network 114 without card data. The approval,disapproval, or pending decision may be transmitted back to theappropriate input device 104, 106, or 112 to give the applicant animmediate response.

Return data from the transaction processor 118 arrives at cardfulfillment center 128. Card fulfillment center 128, in this exemplaryembodiment, includes workstation 130 and card embosser and encoder 134.Work station 130 receives applicant's card information (if the applicantwas approved) or pending status. If the applicant was approved, workstation 130 causes card embosser and encoder 134 to generate an embossedand encoded credit card. The applicant presents identification at thefulfillment center 128. The card may be activated at work station 130and delivered to the applicant. Alternatively, the applicant may firstpresent his or her identification and then the card is made. This orderof steps has the advantage of not printing cards if an applicant changeshis or her mind. In addition to providing the applicant with a paymentcard, the applicant may also be provided credit line and annualpercentage rate (“APR”) information.

In accordance with one aspect of this invention, the credit card may befully operationally at any network point of sale for the particularnetwork-based payment card (e.g., MasterCard, Visa, American Express,etc). Alternatively, the card may be only valid at the on-site location102 where the card was issued (again, such as a theme park). Further,the card may be limited for a predetermined duration and then apermanent card sent to the applicant via the mail. Additionally, thecard may be temporarily limited in an amount that may be charged.

An experimental system in accordance with this invention can have acredit card ready in less than five minutes from application to cardimprinting. Having the credit card available where the application wastaken has been demonstrated to improve willingness of applicants toapply. Thus, the combination of speed and local availability of thecredit card provides great advantages over the prior art.

Turning now to FIG. 2 a-c, a flow of operations of an exemplaryembodiment of this invention is shown. In this flow chart, actions takeplace on-site 102, in data networks 110 and 114 and in decision and datasystems 118 and 124. Processing starts on-site 102 in oval 200 andproceeds to manual input 202 where the applicant fills out forms.Processing moves to decision diamond 204 where the applicant'sidentification is verified. If the applicant cannot verify his or herID, processing ends in oval 206.

If the applicant verifies his or her ID, then processing moves to actionbox 208 where the application is submitted. Processing then movesthrough data networks 110 and 114 as the applicant's personal data istransported to decision system in box 210. Decision and data systems 118and 124 receive applicant's personal data in box 212 and performs anydata verification and updates the database. Processing continues fromFIG. 2 a to FIG. 2 b via connector A.

Turning now to FIG. 2 b processing enters through connector A and thenproceeds to action box 214 where the applicant's personal data issubmitted to a decision system. Processing moves to decision diamond 216where determination is made if the application has been approved. If theapplication has been approved, then processing moves to action box 218where card data is generated. In this exemplary embodiment, card dataincludes any embossed data account information and, importantly, datafor the magnetized card strip.

Processing from action box 218 and from decision diamond 216 (if theapplication was not approved) moves to action box 220 where the decisionand card data (if generated) is sent back to the on-site location. Thedecision is sent through data networks 114 and 110 in box 222 andreceived at the on-site location in box 224. Processing proceeds throughconnector B to decision diamond 226, FIG. 2 c. Continuing with FIG. 2 c,a determination is made in decision diamond 226 whether the applicationhas been approved. If the application has not been approved then theapplicant is informed that the status is pending further review at 227.If the applicant was approved at decision diamond 226, then processingproceeds to box 228 where a card is embossed and encoded. Processingproceeds to decision diamond 230 where the applicants identification isverified. If an applicant cannot verify his or her identification thenprocessing ends in oval 232.

If, in decision diamond 230, the applicant verifies his or her ID thenthe card may be activated in box 234. A message may be sent through datanetworks in box 236 to system inbox 238 and activation confirmationdelivered back through data networks box 236 to box 234. A determinationis then made in decision diamond 240 whether the card was successfullyactivated. If the card was not successfully activated then an error codeis delivered. If the card was successfully activated then a card isissued to the applicant in oval 244.

FIGS. 3-13 illustrate exemplary embodiments of data entry screens intablet computers 104 and 106. Tablet computers are desirable in thisapplication because they can be held in one hand while the applicantenters data with the other. Input may be via a touch screen or a stylus.A personal digital assisted device, laptop computer, or other computerdevice (with or without wireless capacity) could also be used. Oneskilled in the art will appreciate that any input device that isappropriate for the environment in which it will operate may be used.FIG. 3 illustrates an exemplary log in screen for an applicant. A personsoliciting card applications (herein called “a handler”) enters his orher own identification and location information. In the screen of FIG.4, the handler enters identification information of the applicant, suchas driver's license and existing credit card, and verifies that he orshe has seen the photo identification.

In the screens of FIGS. 5-9, additional information about the applicantis entered. Not all data entry fields shown in these figures arerequired, but some are, such as the applicant's social security number.In the screen of FIG. 5, the applicant fills out his or her name andaddress. In the screen of FIG. 6, the applicant fills out informationsuch as social security number, date of birth, phone number andidentification such as mother's maiden name. In the screen of FIG. 7,the applicant is asked for employment information and in FIG. 8 entersincome. In the screen FIG. 9, the applicant may optionally enter ane-mail address in order to receive information regarding card memberproducts.

Terms and conditions are agreed to in the screen of FIG. 10. In thescreen of FIG. 11, the applicant selects one of a choice of credit carddesigns. The handler, in the screen of FIG. 12, again verifies theapplicant's information and enters the handler's own identificationinformation.

It is to be understood that the above-described embodiment is merelyillustrative of the present invention and that many variations of theabove-described embodiments can be devised by one skilled in the artwithout departing from the scope of the following claims and theirequivalents.

1. A computer-implemented method for issuance of a credit card by anissuer, comprising the steps of: receiving, at a first site, personaldata from an applicant located at the first site; sending the personaldata from the first site to a decision system; determining at thedecision system, whether to issue the credit card based on informationcomprising the personal data and financial information regarding theapplicant; sending unique identifying information to a card-generatingdevice located at the first site, responsive to a determination to issuethe credit card to the applicant; generating, at the first site, atemporary credit card with the unique identifying information; issuingthe temporary credit card to the applicant at the first site, whereinthe temporary credit card is configured for use in a limited geographicarea comprising the first site; conducting a further evaluation of theapplicant to determine whether to issue a permanent payment cardconfigured for use on any point-of-sale network associated with theissuer of the permanent credit card; and issuing the permanent creditcard at a second site.
 2. The method of claim 1, wherein issuing thepermanent credit card comprises replacing the temporary card.
 3. Themethod of claim 1, wherein issuing the permanent credit card comprisesre-configuring the temporary card into the permanent card.
 4. Acomputer-implemented method for issuance of a credit card by an issuer,comprising the steps of: receiving, at a first site, personal data froman applicant located at the first site; sending the personal data fromthe first site to a decision system; determining at the decision system,whether to issue the credit card based on information comprising thepersonal data and financial information regarding the applicant; sendingunique identifying information to a card-generating device located atthe first site, responsive to a determination to issue the credit cardto the applicant; generating, at the first site, a permanent credit cardwith the unique identifying information; activating the permanent creditcard for use in a limited geographic area comprising the first site;issuing the permanent credit card to the applicant at the first site;and following a predetermined amount of time, activating the permanentcredit card for use on any point-of-sale network associated with theissuer of the permanent credit card.
 5. A computer-implemented methodfor issuance of a credit card by an issuer, comprising the steps of:receiving, at a first site, personal data from an applicant located atthe first site; sending the personal data from the first site to adecision system; determining at the decision system, whether to issuethe credit card based on information comprising the personal data andfinancial information regarding the applicant; sending uniqueidentifying information to a card-generating device located at the firstsite, responsive to a determination to issue the credit card to theapplicant; generating, at the first site, a permanent credit card withthe unique identifying information; activating the permanent credit cardfor use in a limited geographic area comprising the first site; issuingthe permanent credit card to the applicant at the first site; andfollowing further evaluation of the applicant, activating the permanentcredit card for use on any point-of-sale network associated with theissuer of the permanent credit card.
 6. A computer-implemented methodfor issuance of a credit card by an issuer, comprising the steps of:receiving, at a first site, personal data from an applicant located atthe first site; sending the personal data from the first site to adecision system; determining at the decision system, whether to issuethe credit card based on information comprising the personal data andfinancial information regarding the applicant; sending uniqueidentifying information to a card-generating device located at the firstsite, responsive to a determination to issue the credit card to theapplicant; generating, at the first site, a temporary credit card withthe unique identifying information; issuing the temporary credit card tothe applicant at the first site, wherein the temporary card is alimited-use credit card; conducting a further evaluation of theapplicant to determine whether to issue a permanent credit cardconfigured for use on any point-of-sale network associated with theissuer of the permanent credit card; and issuing the permanent creditcard at a second site.
 7. A computer-implemented method for issuance ofa credit card by an issuer, comprising the steps of: receiving, at afirst site, personal data from an applicant located at the first site;sending the personal data from the first site to a decision system;determining at the decision system, whether to issue the credit cardbased on information comprising the personal data and financialinformation regarding the applicant; sending unique identifyinginformation to a card-generating device located at the first site,responsive to a determination to issue the credit card to the applicant;generating, at the first site, a temporary credit card with the uniqueidentifying information; issuing the temporary credit card to theapplicant at the first site, wherein the temporary card is a limited-usecredit card; conducting a further evaluation of the applicant todetermine whether to issue a permanent credit card configured for use onany point-of-sale network associated with the issuer of the permanentcredit card; and determining, based on the further evaluation, not toissue the permanent credit card.